Seller is refusing to make repairs 6 days before closing.

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Seller is refusing to make repairs 6 days before closing.

Allen Lopez
Rental Property Investor · Baton Rouge, LA · Member since 2018 · 151 posts · 13 votes

So I made an offer on a “for sale by owner” for the asking price if $250k in Baton Rouge, LA. Property was to include the refrigerator. After the inspection, found a few issues that needed to be fixed. 1 was holes on the shingles which are going to be fixed by the builder since property is only 2.5 years old. 2. Rotten droppings in the attic. We requested that the following via email:

“There seems to be rotten droppings in the attic. We would like to get the attic inspected by a licensed professional and if rottens are found, get them removed. Although no entrance point was found it’s possible that they entered the attic through an opening on the ceiling around the house. Might need to investigate”.

Seller replied that she agreed and told us that the pest control company “Arrow” would take care of it.

Property appraised for $245 and seller reluctantly agreed to lower the price if she could keep the refrigerator. We agreed.

Last week she was supposed to get arrow to correct the rotten problem in the attic. Today (6 days before closing, we asked for a copy of the report and she said she did not get one. I contacted arrow and turns out all she did was contact them for a free estimate. They forward me the quote which she said she never got, and it was for $360 for sealing the entry points, placing traps, spraying repellent, and a 3 month repelling contract (1/month) around the outside of the house.

She is now saying she will hire a handy man to place traps and close the holes, and will order the repellant for it to spray. That was not our agreement. And we feel like she is using the fact that we are so close to closing as a way to get out of it.

Honestly she is being extremely cheap. Now we are at the point that if she doesn’t comply with the request as she originally said she would, we are not purchasing the house.

We have already paid nearly $1000 (inspection and appraisal) for all the property. Can get ask her to give pay us that back if she backs out of the deal last minute? Appraisal and request for repairs time frame has already passed. So now we are at a point where she can technically play hard ball. We like the property but are willing to walk away. Any thoughts on how to recover that money?

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Randall AlanPro Member
Investor · Lakeland, FL · Member since 2017 · 1k+ posts · 1k+ votes
6y

So I see this as a potential "cut off your nose to spite your face moment".  Your seller knows that all the rodent company is going to do is to spray some expanding foam in a few places, and put a couple of $15 rat traps in the attic.  BTW, it's usually where the AC lines come up into the attic that the rodents get in... or holes in soffits.  We have sealed them up and it cost us $6 in spray foam.  So $360 is 'stupid money' for the service they will provide... so she is saying her handyman can handle this for way less.... probably $50.   I get that the professionals will stand behind their work, etc, etc... and my quote when I called a company like that was $960! (WTH?!).  We spent $40 including the foam, rat bait, and a few traps. Problem solved.  So I think what you are missing is that 'professionals' charge A LOT for that service, and there is nothing special about what they do... its pretty much, "use your eyes, find the way they are getting in, block the path".  Imagine if I said If I told you the quote to clean your car was $360... but I'm a professional!  You might say, "Uh... I'll go to the car wash down the street and do it myself for $5.  That is sort of what you are dealing with here in my book.  The 'professionals' just overcharge for this service because they know some people will pay it.  

My question to you is this:  You are $1,000 into your deal, and you are thinking about walking away from it when she is agreeing to fix the problem, just not the expensive way?  That's pretty short sighted in my book. (no offense intended).  If it were a $4,000 AC that needed to be replaced... ok, I get it... But for $360 you are going to walk... on a $250,000 house?  That's .1% (literally .00144) that you are going to walk away after already being invested $1,000 for an inspection & appraisal?  Do you see where this makes no sense?  Let her fix it... but hold her to it being fixed, be happy, enjoy your home!

All the best!

Randy

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  • Randall AlanPro Member
    Investor · Lakeland, FL · Member since 2017 · 1k+ posts · 1k+ votes
    6y

    So I see this as a potential "cut off your nose to spite your face moment".  Your seller knows that all the rodent company is going to do is to spray some expanding foam in a few places, and put a couple of $15 rat traps in the attic.  BTW, it's usually where the AC lines come up into the attic that the rodents get in... or holes in soffits.  We have sealed them up and it cost us $6 in spray foam.  So $360 is 'stupid money' for the service they will provide... so she is saying her handyman can handle this for way less.... probably $50.   I get that the professionals will stand behind their work, etc, etc... and my quote when I called a company like that was $960! (WTH?!).  We spent $40 including the foam, rat bait, and a few traps. Problem solved.  So I think what you are missing is that 'professionals' charge A LOT for that service, and there is nothing special about what they do... its pretty much, "use your eyes, find the way they are getting in, block the path".  Imagine if I said If I told you the quote to clean your car was $360... but I'm a professional!  You might say, "Uh... I'll go to the car wash down the street and do it myself for $5.  That is sort of what you are dealing with here in my book.  The 'professionals' just overcharge for this service because they know some people will pay it.  

    My question to you is this:  You are $1,000 into your deal, and you are thinking about walking away from it when she is agreeing to fix the problem, just not the expensive way?  That's pretty short sighted in my book. (no offense intended).  If it were a $4,000 AC that needed to be replaced... ok, I get it... But for $360 you are going to walk... on a $250,000 house?  That's .1% (literally .00144) that you are going to walk away after already being invested $1,000 for an inspection & appraisal?  Do you see where this makes no sense?  Let her fix it... but hold her to it being fixed, be happy, enjoy your home!

    All the best!

    Randy

    4Reply
  • Stephen N.
    Accountant · greenwell springs, LA · Member since 2009 · 177 posts · 43 votes
    6y

    If this is a house you are going to live in and you really like the house then I would buy the house 


    if this is an investment property I would walk away.  You are paying 100% of fair market value.  There are much better deals to be had 

    1Reply
  • Shawn Regnier
    Realtor · Los Angeles, CA · Member since 2017 · 99 posts · 97 votes
    6y

    @Allen Lopez I’m an agent in California, and no, you will not get your inspection fees back if a deal falls through. Maybe it’s different in Louisiana, but I highly doubt it.

    So you are ready to walk away from a deal over $360? Sounds a little extreme to me, even if you “could” get back your $1,000 spent.

    Added headaches always come up during and after a purchase, so try not to proceed with only an emotional decision. If it’s a good deal, then just get it done. I don’t think $360 is going to turn a good deal into a poor one.

    It’s your decision, though.

    1Reply
  • Allen Lopez
    OP
    Rental Property Investor · Baton Rouge, LA · Member since 2018 · 151 posts · 13 votes
    6y

    @All

    Thank you for the advice, I think it was more of the emotional side because she was deceiving in waiting this long and if we had not asked she would not have said anything. Plus the fact that she said they never sent her a quote when they did was ridiculous. But you guys are ride, real estate is not a place for emotions.

    0Reply
  • Theresa HarrisPro Member
    Member since 2019 · 15k+ posts · 11k+ votes
    6y

    It isn't worth the $360.  Tell her to credit you that at closing or split the costs especially as you let her keep the fridge.  If not, just go ahead and call arrow back and get it dealt with once you move in.

    0Reply
  • Clint Galliano
    Real Estate Agent · Houma, LA · Member since 2016 · 238 posts · 115 votes
    6y

    @Allen Lopez I'm assuming that you are buying this home as a primary residence since you are paying appraisal price?

    What does your agreement to buy/sell say about repairs? A typical one will give the seller the option to repair, reduce the price to cover the repairs, or choose to do nothing & leaving it up to the buyer to cancel the contract.

    It also sounds like you did not have an agent representing you in this transaction.

    0Reply
  • Allen Lopez
    OP
    Rental Property Investor · Baton Rouge, LA · Member since 2018 · 151 posts · 13 votes
    6y

    @Clint Galliano

    Yes you are right. No agent. She had 5 days to accept repairs which she did. At this point if she backs out she would be breaching her contract

    0Reply
  • Charlie MacPherson
    China, ME · Member since 2014 · 3k+ posts · 4k+ votes
    6y

    @Allen Lopez  I'm confused.  How does a home that's 2.5 years old have holes in the shingles?  Did you build it next to a woodpecker's social club?  That strikes me as very odd.

    Next, you say you have "rotten droppings" in the attic.  Do you mean rodent droppings?  That's not all that unusual and easy to remedy.  It sounds like there's an estimate from an exterminator (Arrow). 

    Your inspection costs are not refundable unless you sue.  Maybe you can go to small claims to recover - but that depends on the laws in your state.

    You can play hardball if you want and threaten to walk away, but you're arguing over relative peanuts.  You can try to walk away from the contract, but you risk having the seller sue you for specific performance.  The legal bills will dwarf the cost of the rodent remediation.

    If I were in your shoes, I'd probably proceed with the sale and chalk all this distress up to not being represented by a Realtor.  From the sounds of it, you were not properly represented and this is the kind of thing you face when you make that choice.

    Just be happy it wasn't worse.

    1Reply
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